Rates rise by 6,5% in July
2007-06-07
MUNICIPAL rates and taxes in Drakenstein will rise by 6,53% for small households and 7,32% for big households, according to the 2007/2008 budget accepted by the Drakenstein Municipal Council last week.
The total budget of R851,9 million includes a consolidated capital budget of R188,1m and an operational budget amounting to R663,7m.
During his budget speech, executive mayor Koos Louw pointed out that the matters budgeted for included funding for the purchase of land for housing.
A total of R1 million is budgeted for a swimming pool in Gouda while R2,3m is budgeted for the purchase of land for a new graveyard in Paarl.
Housing
“We will continue to engage all stakeholders to provide more money for housing.
“Close to R173m is required for the next financial year to address all the backlogs (maintenance and replacement) but within our means the Drakenstein Municipality can only provide R60m.
“National and provincial government will have to consider funding municipal infrastructure backlogs.
“About 24% of Drakenteins’s total road network is classified as poor to very poor. Bridge maintenance has been neglected.
“The same applies to sidewalks, stormwater, water and sewerage infrastructure.
“Money has been provided for the tarring of sidewalks, traffic calmings increases (speedbumps).
“The repairs and maintenance budget should be increased in future to address the backlogs.”
The budget allows for an increase of waste water treatment capacity in Paarl and Wellington.
According to acting head of finance head, Cavin Pietersen, the expected monthly account of the small household should rise by 6,53% from R681 to R725 after 1 July.
This is based on an erf of 215 square metres, a house of 58 square metres, 498 units electricity and 25kl water). Property tax on such a house will increase from R181 to R192 (6%) while the basic electricity levy will increase from R222 to R235 (6%).
The basic water levy increases by 10% from R10 to R11 and consumption also rises by 10% from R68 to R75.
Sanitation increases from R39 to R41 (6%). Refuse will increase by 6% from R97 to R103.
From 1 July the expected monthly account for a big household (based on an erf of 1 094 square metres, a house of 317 square metres, 1 000 units electricity and 103kl water) will increase by about R146 from R2002 to R2148 (7,32%).
Property tax on such a house will increase by 5% from R576,77 to R611, the electricity basic levy will increase from R109 to R116 (6%) and electricity consumption from R356 to R377 (6%).
The basic levy for water increases from R10,89 to R11,98 (10%) and for water consumption from R569,15 to R626,07 (10%).
Sanitation increases from R107 to R113 (6%) and refuse removal from R97 to R103 (6%).
However, all households where the combined income is below R1 740 per month, qualify for a rebate of R106 per month on municipal services such as refuse removal and sewerage.
In total 15 000 households in Drakenstein will benefit financially from this subsidy.
The current limits for pensioners to qualify for a 20% rebate on property tax has been increased from property valued at R308 000 to R850 000.
The combined household income limit, currently capped to government pension for both pensioner and spouse, is to be increased by 75%.
The free services that Drakenstein renders will amount to a total of R29 million during the budget year.
This includes expenditure on the net free water for every household (nearly R4,8m), free electricity for each household (just more than R3 million), rebates for properties with value below R50 000 (more than R2,6 million), as well as the free removal of refuse from skip bins (more than R1,7m). For more information about these free services and rebates, visit the civic centre in Paarl.
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